Below is local Congresswoman Gillibrand's statement:

"I am thrilled that Congress and the Administration could work together to help American families pay for college.  The College Cost Reduction Act is the largest increase in college aid since the 1944 G.I. Bill, and is a prime example of the investments our country should be making to keep the United States as the world's leader in educating young people.

"There are nearly 30,000 undergraduate and graduate students in New York's Twentieth Congressional District, yet the sharp increases in college tuition over the past decade have made the American Dream more difficult to obtain.  In addition to strengthening the middle class, this bill will reward and encourage students to go into public service fields by providing loan forgiveness to graduates.

"This bill is fiscally responsibly and will not cost taxpayers a dime, as funding for this bill will come from trimming excess federal subsidies to loan providers.  This is the right approach to keeping America's economic competitive, restoring fiscal responsibility and make college education accessible to all Americans."

The College Cost Reduction Act of 2007 includes the following provisions:

Increase the maximum value of the Pell Grant scholarship by $500 over the next five years.  Over 420,000 New Yorkers would benefit from a $500 increase in the Pell Grant
 
Cut interest rates in half- from 6.8% to 3.4%- for students with need-based student loans.  Once fully phased-in, this would save the typical student borrower in New York $4,570.  In New York, students with need-based scholarships graduate with an average of $14,276 of debt.
 
Prevent student borrowers from facing unmanageable levels of federal student debt by guaranteeing that borrowers will never have to spend more than 15 percent of their yearly discretionary income on loan repayments
 
Provide tuition assistance for undergraduate students who agree to teach in our country's public schools
 
Provide loan forgiveness for public servants, including police officers, firefighters, first responders, prosecutors, nurses, early childhood educators, and public defenders.